Retail giant Suning Holdings Group has signed a Memorandum of Understanding (MoU) with Australian grocery wholesaler Metcash to supply Australian and New Zealand products to consumers in China.

As part of the agreement, Suning will set up an Australian pavilion on tis online stores, selling fresh produce, alcohol and other consumer goods. Both Metcash and Suning will promote the products online and offline, with Suning to oversee to storage and logistics.

Suning International vice president Steven Zhang signed the MoU with Metcash CEO Ian Morrice while in Australia on 8 August.

"With the eco-friendly environment, products from this land would gain very anticipated market share in China from the consumers who value nature and wellness a lot,” Zhang said in a joint press release. “The cooperation with Metcash will allow us to provide more Australian and New Zealand brands with the opportunity to enter Chinese market through the retailing platform that Suning developed.”